The euro fell back under $1.18 in mid-September, hovering around its weakest level since August 27th, due to growing risk aversion as rising COVID-19 infections could force some countries to reintroduce restrictions of some sort. The European Central Bank decided last week to move to “a moderately lower pace” in its €1.85 trillion PEPP from the €80 billion a month level it has run at since March, amid a stronger near-term outlook for prices and growth. Still, the central bank did not provide any detail about the exact end of emergency support, leaving that contentious decision for December's meeting. On the other hand, a smaller-than-expected rise in US inflation coupled with hawkish comments by Fed officials led to uncertainty on when the Fed would begin tapering its asset purchases.
Historically, the Euro Dollar Exchange Rate - EUR/USD reached an all time high of 1.87 in July of 1973.The euro was only introduced as a currency on the first of January of 1999. However, synthetic historical prices going back much further can be modeled if we consider a weighted average of the previous currencies. Euro Dollar Exchange Rate - EUR/USD - data, forecasts, historical chart - was last updated on September of 2021.
The Euro Dollar Exchange Rate - EUR/USD is expected to trade at 1.18 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 1.16 in 12 months time.